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Purchasing And Supply Objective (Major Elements (It involves moving…
Purchasing And Supply Objective
Logistics of moving goods
Modes of Transportation:
Water mode
Pipeline
Rail mode
Land mode
Air mode
Benefits of Transportation
Visibility
Inventory Flow
Sustainability
Preferred Shipper Status
Customer Satisfaction
Difference Between Logistics and Transportation
Logistics deals with the integration of storage, transportation, cataloguing, handling and packaging of goods while transportation deals with the function of moving products or individuals from one location to the next.
Physical Distribution refers t the tasks involved in managing the physical flows of materials and final goods from points of origin to points of use to meet the needs of the customers and the institution.
Major Elements
It involves moving products in and out of a stock. Efficiency, is increased though us of electronic data processing to control conveyor system, order picking and other traffic flaws
Refers to the stock of product a form has on hand and ready for sale to the customers. Inventory are kept to meet market demands promptly.
Considered as a key to customer service and satisfaction. It includes receiving, recording, filling and assembling of products for dispatch.
Decides what mode or combination of modes of transportation should be used to transport products to warehouse and from there to customer or should the transportation cost be reduces and the desired levels of customer service still maintained.
Process of passing the information and understand from one person to another. This including the information system which should link producers, intermediaries and customers.
The person in charge of the physical distribution should co-ordinate all activities into an effective system to provide the desired customer service in the most efficient manner.
Supply Chain Umbrella
A large set of activities beside purchasing is part of supply chain management each of these seemingly diverse activities has one important features in common. This is part of a network that will define how efficiently and effectively goods and information flow across a supply chain.
Right of purchasing
From right source
For the right price
At the right quantity
At the right time
Getting the right quality
Inbound logistics-the transport, storage and delivery of goods coming into a business.
Outbound logistics- the same for goods going out of a business. Inbound and outbound logistics combine within the field of supply-chain management.
Materials Handling
Inventory Planning and Control
Order Processing
Transportation
Communications
Organisational Structure
Definitions
CONTROLLING PHYSICAL DISTRIBUTION